1970-01-01 08:33:28
Local venture capital (VC) institutions on the Chinese mainland raised more than three million U.S. dollars in the second quarter of this year, with their investment growing 70 percent on the same period of this year.
According to Zero2IPO, a leading service institution for venture capital and private equity (PE) investment in China, 159 enterprises on the mainland acquired financial support from VC funds between April and June, up 31.4 percent. They have disclosed such funds of 1.204 billion U.S. dollars, up 73.5 percent.
Over the three-month period, 10 PE funds raised 12.022 billion U.S. dollars, and more than 30 PE institutions invested 2.559 billion dollars in 37 enterprises on the mainland.
Most of the PE investment went to central and western regions and new energy projects.
Zero2IPO CEO Ni Zhengdong said the volatility of global stock markets, oil price hikes, RMB appreciation and the credit crunch in the United States had combined to adversely affect the profitability of VC/PE beneficiaries and VC/PE's withdrawal through IPOs in China.
However, Yan Yan, chief partner of Softbank SAIF, a leading private equity firm, believed in the coming three to five years, China would remain one of the most favored markets for VC/PE, which promised more returns on investment and bore more risks.
Source:Xinhua